I will cut a long story short; I’m in debt of round about £27,000 unsecured.) I have a mortgage of £103,000 and a house worth around £150,000 (on paper in the real world god knows) I have been struggling with my debts for the past 2 years, and to be fair most lenders have been very good. The ex was in the house until recently (end June) I have moved back in. I am working and my take home pay is £290 a week, my outgoings are £290. I have taken all outgoings into account. However my out goings only include a £1 payment to my creditor’s each (apx 7 creditors)I’m unable to keep my previous payment plan due to the change in my out goings since moving back into the house. I have the house on the market, but with the current climate I feel it will take a while to sell, if I does sell.The cause of my dept was my ex, but in my name, I have coped quite well considering the weight on my mind, but I’m having trouble sleeping lately and its really getting me down.I’m not asking for a magic wand, I know the lenders want there money, which I understand the problem is I have not got anything for them. I was going to rent a couple of rooms out, but am having second thoughts because I could have bailiffs at the door at any time, and that wouldn’t look good for any potential tenants.

Getting a lodger in to boost your income would help but I understand what you are saying about being worried about bailiffs knocking at the door. Generally speaking however, creditors would only send around a bailiff or collecting agent as an absolutely last resort. Have you actually been contacted already by a bailiff? If not then you may be worrying unnecessarily about this and it could well pay to go for the lodger option.

This extra income could tied you over until you get a chance to sell the house so that you can settle your debt. Have you thought about dropping the price to do this? Lets say you dropped to £140k for a quick sale. You would probably come out with c£30k after costs etc.

You could then offer settlements to your unsecured creditors - I think you would be able to get this done for c£15k. That means you walk away from everything debt free and with £15k in your pocket.....